Building Long Term Relationships With Your Vendors

Posted by Becky Auer

It’s extremely important to build relationships with your vendors.  By doing so, you can bring in new customers and clients and increase awareness of your company branding.

The people you work directly with on your products and services are really the ones with the most to gain when you find success. By taking the time to get to know them, you’ll find many opportunities you didn’t realize were there.

Look for great ways to offer your vendors rewards for helping grow your business and everyone wins. One of ways you can do this is by offering performance based incentives that are much larger than their normal charges.

Here’s a step-by-step process so you can put together a partnership with a vendor:

First, approach all the vendors you work with and offer an incentive based on performance.  Next, put together a generous incentive plan together from their perspective.  You may even take suggestions from them on what would motivate them.  Now, develop a clear, concise and easy to track incentive plan.  By doing so this will increase competition between vendors and also produce higher performance levels.  Who doesn’t like a little friendly competition?

Don’t forget to encourage subsequent sales, too, instead of focusing only on the initial sale. By doing this you can give away more of the profit from the initial sale to your vendors and make higher profits off the back end products. So be sure to encourage future sales, upsells on more profitable products or services,  and cross-selling over to additional products.

When you create an incentive plan that’s irresistible to your vendors by offering generous, exclusive compensation you both win!

Just think of all the vendors you work with and the creative ways you can put together an incentive plan that will entice them to be part of your business. Use their talents, capabilities and connections and you’ll both be winners.

Putting together an incentive plan doesn’t have to be a complicated process. Use our FREE test drive to come up with some great ideas and put your incentive plan together for maximum results.  For more information and your free test drive, go to